Poppy processor, TPI Enterprises expects to start sowing the first of 2,000 hectares of poppies in Victoria this month.

The company also expects to sow almost twice that area (3,500 hectares) in Tasmania, as well as 150 hectares in the Northern Territory.

TPI managing director Jarrod Ritchie says he's also looking at sourcing poppies from Portugal, where he's relocated to grow the business in Europe.

"It's purely a business decision," Jarrod Ritchie said.

"We are firm believers in this industry and the potential of this industry.

"To have greater access to the market we need a presence there, so we're putting a presence there.

"And I think it conveys the confidence that we have, and that's why I'm probably more disappointed about the talking down of the industry, almost to make it seem like it doesn't need to grow and it doesn't need to change and it can stay in Tasmania as it is forever."

This week in Tasmania Jarrod Ritchie said he had talks with the Premier and Attorney-General about the security of poppy supply.

He says TPI has invested almost $100 million in Tasmania since it started a decade ago, including building its factory at Cressy with a novel alkaloid extraction process.

"We're making sure that the politicians, shareholders [and] employees understand that security of supply is a critically important issue for TPI and the industry," Jarrod Ritchie said.

"It's about job creation, it's about investment, and that comes from security of supply."

Jarrod Ritchie maintains the business can't meet existing orders to supply pharmaceutical manufacturers and is being thwarted by insufficient poppy raw material from Tasmania.

But Poppy Growers Tasmania is circulating a new report on land suitable for poppies in Tasmania to politicians and government advisors.

The paper by agricultural consultant Lance Davey cites two previous land studies by the Tasmanian Institute of Agriculture and Macquarie Franklin which conclude that Tasmania could sustain between 45,000 and 70,000 hectares of poppies a year.